Expert: Charles Taylor - 10/31/2006

Question
Hi Charles,

I have noticed a few porn sites selling their videos strictly through online membership, in the form of downloadable movie files. Is it possible to run a profitable business (more than a hobby)using this type distribution strategy?

I read an article by Forbes magazine a few years ago that a typical DVD/Video release may sell 1,000 to 2,000 units. Does a typical porn companies profit more from the sales of their DVDs more than their online memberships?

Thanks in advance.

Answer
Any business today must implement more then just one type of content delivery strategy to be profitable. Therefore you would be wise not to put all your eggs in one basket as they say. Multiple forms of delivery gives the consumer more choices and more choices equal more revenue and the bottom line will equal more sales. My opinion would be finding third party systems to do this type of content delivery to begin with then if you see a growth in sales in that sector then by all means do it in house and keep all the profit for yourself. But like anything in life you must try it out to see if you like going down that route.

One thing is certain very soon there will be the “big show” in Vegas. I recommend that everyone at least show up there if only to smooze, mingle and make CONTACTS!!!!

This is the single essential and necessary tool that you will need to have any adult business grow. You will probably even get to meet with the general public if you get a booth and see what they like and that would naturally be the goal for any company getting inside the consumers mind.